Samvat 2082 gets off to quiet but positive start; Sensex, Nifty end flat

But log fresh 1-year highs in muhurat session

Domestic equity markets posted modest gains during the hourlong ceremonial muhurat trading session on Tuesday, marking the start of Samvat 2082, the new Hindu calendar year.  This was the eighth consecutive year that saw benchmark indices ending the special session in the green. 

The Sensex settled at 84,426, up 63 points, or 0.07 per cent, while the Nifty 50 gained 26 points, or 0.1 per cent, to close at 25,869. Both indices finished at fresh one-year highs. 

Broader indices mirrored the trend — the Nifty Midcap 100 rose 0.1 per cent, while the Nifty Smallcap 100 advanced 0.5 per cent. Market breadth remained strong, with 3,023 stocks advancing, against 954 declines. Most sectoral indices ended higher, barring the Nifty PSU Bank and Nifty Realty indices. 

Stock exchanges conduct the one-hour muhurat trading session every year to mark the beginning of a new Hindu calendar year. This year, for the first time, the session was held in the afternoon instead of its traditional evening slot. 

Equity markets entered Samvat 2082 after a year of moderate gains, even as gold and silver prices rallied for a second straight year amid global headwinds. Both the National Stock Exchange (NSE) and the BSE held ceremonial events on Tuesday, where their chiefs struck an optimistic tone about the market’s prospects. 

“Equities underperformed other asset classes during Samvat 2081, weighed down by multiple geopolitical headwinds,” said Ashishkumar Chauhan, managing director (MD) and chief executive officer (CEO), NSE.

 

“However, the outlook for Samvat 2082 appears brighter. India has emerged as a global hub for services exports, while the implementation of the goods and services tax (GST) reforms has been widely welcomed. A favourable monsoon further reinforces confidence in the year ahead,” said Chauhan. 

The next Samvat should be positive, said BSE MD & CEO Sundararaman Ramamurthy. “Several data points, including robust automobile sales, rising consumption, and improving economic growth — point to sustained momentum. I am confident this growth will continue. The next milestone to aim for will be India’s market capitalisation (mcap) crossing the ₹500 trillion mark,” said Ramamurthy.

 

The mcap of all BSE-listed companies stood at ₹471 trillion ($5.34 trillion), just below the ₹478 trillion peak recorded on September 27, 2024.

 

At current levels, the Sensex is 1.6 per cent below its record closing high, while the Nifty is 1.3 per cent away.

 

These indices had corrected over 15 per cent from their peaks in April amid concerns over slowing corporate earnings and US trade policies. India underperformed most global peers as investors rotated funds to other attractive markets.

 

“Though several factors, including tariffs (imposed by US President Donald Trump), played a role, the dominant reason was the sharp drop in earnings growth — to 5 per cent in FY25 from an average of 24 per cent in the preceding three years,” said V K Vijayakumar, chief investment strategist at Geojit Financial Services.

 

“Since markets are ultimately driven by earnings, the sustainability of any uptrend in Samvat 2082 will hinge on a recovery in profits,” he added.

 

Valuations remain elevated, with the Nifty 50 currently valued at 20.7 times one-year forward earnings — a 13 per cent premium to its 10-year average of 18.3 times — while mid and smallcap indices continue to trade at steeper multiples.

 

“The outlook is positive, but it won’t be a one-way rally,” said Ambareesh Baliga, independent market analyst. “We may see new highs in the coming weeks, but sustaining them will require an earnings revival, possibly visible in the December quarter. Over the next two to three months, markets could consolidate.”

 

Baliga added that a potential trade deal with the US and the upcoming Union Budget in February could trigger the next leg of the equity rally.